<span>The difference may lie in the project life, sometimes referenced as the planning horizon. A project may have a large internal rate of return (irr), but a very short project life. A second project might have a lower irr, but a much longer life. In that case, the second project will return less per year, but will provide a return for many more years, resulting in a higher pw.</span>
Amortizing a loan P over n periods at i% interest / period, the payment per period is given by:
In given situation,
P=20000
period=month
i=10%/12
n=5*12=60 months
A. monthly payment amount
to the nearest cent
B. EAR (effective annual rate)
the APR is 10%, but compounded monthly.
So
EAR=(1+i/12)^12-1
=(1+0.1/12)^12-1
=0.104713
=10.4713% (effective annual rate)
Answer:
1. Merchandise held on consignment for Trout Creek Clothing.
- Excluded from the company's year-end inventory because they belong to another company.
2. Goods shipped f.o.b. destination on December 28 that arrived at the customer's location on January 4.
- Included in the company's year-end inventory because FOB destination shipments transfer ownership only after they are delivered, not while on transit.
3. Goods purchased from a vendor shipped f.o.b. shipping point on December 26 that arrived on January 3.
- Included in the company's year-end inventory because FOB shipping point shipments transfer ownership after they leave the seller's facilities.
4. Goods shipped f.o.b. shipping point on December 28 that arrived at the customer's location on January 5.
- Excluded from the company's year-end inventory because FOB shipping point shipments transfer ownership after they leave the seller's facilities, so they belong to the buyer now.
5. Phoenix had merchandise on consignment at Lisa's Markets, Inc.
- Included in the company's year-end inventory because merchandise on consignment belong to the company, not to Lisa' Market.
6. Goods purchased from a vendor shipped f.o.b. destination on December 27 that arrived on January 3.
- Excluded from the company's year-end inventory because FOB destination shipments transfer ownership only after they have been delivered, not while in transit.
7. Freight charges on goods purchased in 3.
-
Included in the company's year-end inventory because freight costs under FOB shipping point are paid by the buyer.
Answer: Efficiency.
Explanation:
An economy is said to be efficient if the economy is able to make the best use of the available resources found in that economy, in meeting the needs of consumers within the economy and even exporting to consumers found in other economies.
